The subsidiary of Shoprite Holdings Limited has said that it would open up its retail supermarkets in Nigeria to investors as part of the move to lead to the sale of part or all its stake in the country.
The company, in its trading review, on Monday, said its subsidiary in the country may eventually be discontinued during the reports of its results for the year.
Shoprite, a leading South African mega retail supermarket, with about 25 outlets in the country, has 15 years of operational history in Nigeria.
The company’s media team in South Africa, said, “In line with our re-evaluation of the group’s operating model in Nigeria, the board has decided to initiate a formal process to consider the potential sale of all, or a majority stake, in Retail Supermarkets Nigeria Limited, a subsidiary of Shoprite International Limited.
“Retail Supermarkets Nigeria Limited may be classified as a discontinued operation when Shoprite reports its results for the year. Any further updates will be provided to the market at the appropriate time.”
The full year sales report for the period ended June 28, indicates that the Nigerian subsidiary reported negative sales growth of -6.3 per cent.
The Country Manager, Chastest Consult, a Public Relations Company for Shoprite Nigeria, Mr. Ini Archibong, was, however said to have denied the report.
Archibong stated that the company, with over $30bn investment in Nigeria, had no intention to abandon its investment in the country.
